How does the financial adviser commission structure work?

FMI offer three options of commission payments to financial advisers:

• As-and-When Commission: Commission is calculated as a percentage of monthly premium and is payable monthly in arrears for each collected premium, for the life of the policy.
• Annualised Commission: Primary Commission is calculated up-front at the start of the policy, based on Life Commission calculations, and is paid as a lump sum payment upon first premium collection. Secondary commission is calculated as a third of Primary commission and is payable as a lump sum upon the 13th premium collection.
• Monthly Commission: Primary Commission is calculated up-front at the start of the policy, based on Life Commission calculations, but is paid over a 12-month period, beginning from first premium collection. Secondary commission is calculated as a third of Primary commission and is payable over 12 months beginning from the 13th premium collection.